Welfare economics supports government intervention to ensure the proper provision of positive environmental externalities when markets fail to address it. As an effective policy instrument to rectify such a failure, the Environmentally Friendly Direct Payment Program (EFDPP) has been proposed and designed to be compatible with international trade rules. Since 1999 the EFDFF has contributed to growth of participating farms and areas. As of 2010, the program accounts for about 426,247 hectares of farmland with a payment of 483,000 won, or USD418 per hectare on average. A survey indicates both the participating farmers and program responsible government officials fully recognize the necessity and effectiveness of the program. (The rest omitted)